Can Your Credit Score Hurt Your Home Town?

CAMDEN, NJ (CBS) — How important is your credit score? According to a report on CBS Marketwatch, it could well affect the town you live in.

Take Camden, which is in a six-way tie for 4th place with a score of 586.

“That would be considered sub-prime,” Michael Hayes, an Assistant Professor of Public Policy and Administration at Rutgers-Camden told KYW Newsradio. “Any loans would be considered sub-prime at that level and that might explain why home ownership rates in Camden are about 40 percent compared to 65 percent home ownership rate in New Jersey.”

That produces a domino effect of sorts, as Hayes sees it.

“That’s likely going to hurt at least the property tax base for the Camden area,” Hayes said. “And that potentially has impacts on the school systems which, then, as you know, schools and education is a major factor for economic growth for the citizens.”

He suggests it’ll take years to see if increased private investment in Camden, spurred on by state tax incentives, will do any long term good.

But Hayes says New Jersey at least makes it difficult for a prospective employer to look at your credit score in determining whether to hire you.